Takamiya Co., Ltd. · TSE:2445
Takamiya — Q1 FY2020 Earnings Presentation
43 slides from Takamiya's earnings presentation, Aug 23, 2019
Slide 1: Results Briefing Materials for the First Quarter of FY Ending March 2020
Results Briefing Materials for the First Quarter of the Fiscal Year Ending March 31, 2020 Notice: This document is an excerpt translation of the original Grand Front Osaka Tower-B Bldg. 27F, 3-1, Ofuka-cho, Kita-ku, Osaka 530-0011, Japan Japanese document and is only for reference purposes. TEL：+81-
Slide 2: Company Overview of Takamiya Co., Ltd.
Company Overview of Takamiya Co., Ltd. Trade name Takamiya Co., Ltd. Incorporation June 21, 1969 Representative Representative director, Kazumasa Takamiya Capital 732,130,000 yen Number of employees Consolidated : 1,204; Non-consolidated : 668 (As of end-March, 2019) Registered head office Grand Fro
Slide 3: Change in company name
Change in company name Logo and corporate name changed The Company has set out its vision as "To create new values through transformation, towards a company group leading th e industry-wide qualitative development", and changed its co mpany name to "TAKAMIYA Co., Ltd." effective from April, 2 019, a
Slide 4: Topics
1. TOPIX Issuance of Share Remuneration- 50th Anniversary Commemorative July 7, 2019 type Stock Option Dividend Notice Regarding Decision on the Con tents of Issuance of Share Remunerati on-type Stock Option May 9, 2019 Notice Regarding 50th Anniversary Co mmemorative Dividend せ 2019/08/23 Page 4
Slide 5: Consolidated Financial Results (Cumulative Period)
2. Consolidated Financial Results (Cumulative Period) Consolidated Results 1Q FY Ending March 31, 2020 1Q FY Ending March 31, 2020 1Q FY Ended March 31, % change （Unit：million yen） Forecast（Non-disclosure） Results 2019Results Sales ratio Sales ratio Sales ratio (YoY) Net sales － － 10,161 － 9,725 － +
Slide 6: Comparison with the previous year: Net sales
3. Comparison with the previous year 3.1 Net sales Shipment of equipment for civil engineering (e.g. falsework) maintained steady growth, which pushed up sales. Year-on-year rate +4.5% 2019/08/23 Page 6
Slide 7: Comparison with the previous year: Operating income
3. Comparison with the previous year 3.2 Operating income Increased by 294 million yen Despite lower profit only in sales business, rental business pulled up to higher profit YoY. Year-on-year rate +115.2% 2019/08/23 Page 7
Slide 8: Comparison with the previous year: EBITDA
3. Comparison with the previous year 3.3 EBITDA（Operating income+Depreciation and amortization) Increased by 297 million yen Depreciation slightly decreased mainly due to increase in operating income. Year-on-year rate +20.8% 2019/08/23 Page 8
Slide 9: Sales business: Comparison with the previous year
4. Sales business 4.1 Comparison with the previous year Net sales: Increased by 259 million yen Sales of temporary equipment especially the Iq System maintained steady growth, agri business contributed as well. Segment income: Decreased by 31 mill ion yen Profit rate of agri-business stayed at low l
Slide 10: Sales business: Comparison with the previous year
4. Sales business 4.1 Comparison with the previous year Those of temporary equipment and construction materials maintained steady growth. As for environment-related business, both agri-business and PV business achieved higher revenues. 2,957 8,626 778 4Q 2,201 3Q 2,062 920 2Q 2,296 2,134 577 875 1Q
Slide 11: Prevalence of the Iq System
4. Sales business 4.3 Prevalence of the Iq System Cumulative sales exceeded 10 billion yen. Major rental business operators started to fully introduce next generation scaffolding, which would lead to larger demands for equipment renewal. （単位：百万円） Sales performance of the Iq system Iq System ：5, 550,
Slide 12: Prevalence of the Iq System
4. Sales business 4.5 Prevalence of the Iq System Market has shifted to the next generation scaffolding, so sales expansion has been sought by synergy with rental business. Prevalence of the Iq System Prevalence of the next generation scaffolding 532 550 8,000 454 365 The Iq System accounts for abou
Slide 13: Rental Business: Comparison with the previous year
5. Rental Business 5.1 Comparison with the previous year Net sales: Increased by 755 million yen Increase in destination construction sites and re nted amount (utilization rate) of equipment stayi ng at high level have led to more proceeds from rental fees. Also, this situation contributed to m ore
Slide 14: Trend of average equipment utilization rates
5. Rental Business 5.2 Trend of average equipment utilization rates Shipment of equipment for civil engineering (e.g. falsework) maintained steady growth, which pushed up overall utilization rates. Trend of average equipment utilization rates average Iq System utilization rates average equipment uti
Slide 15: Ratio of Sales by Area
5. Rental Business 5.3 Ratio of Sales by Area Net sales in Chubu block increased thanks to shipment for civil engineering works, and other domestic bases also maintained steady growth. FY Ended March 31, 2018 FY Ended March 31, 2019 1QFY Ended March 31, 2020 3.6% 4.0% 4.0% 12.5% 13.0% 13.7% Tohoku 2
Slide 16: Transitions of depreciation and investment
5. Rental Business 5.4 Transitions of depreciation and investment While investment in assets for rent passed its peak, those in assets for rent overseas,equipment centers and factory facilities have continued Investment in assets for rent, General investment Depreciation 9,467 4,663 4,777 4,800 4,70
Slide 17: Overseas business: Comparison with the previous year
6. Overseas business 6.1 Comparison with the previous year Net sales: Decreased by 430 million yen Because a large project of solar panel mount ing frames the order for which was received by our subsidiary in Korea was completed, re sulting in decreased revenues. Year-on-year rate Segment income: In
Slide 18: Sales Ratio by Segment
6. Overseas business 6.2 Sales Ratio by Segment Although sales ratio of overseas segment declined, that segment contributed to the consolidated operating income by improving its operational content. Overse Overse Overse as as as Busines Busines Busines s Sales s Sales s Sales Business Business 10.1%
Slide 19: Change in Consolidated Balance Sheet
7. Change in Consolidated Balance Sheet Investment in assets for rent passed its peak and thus facilitated depreciation, resulting in net decrease by 674 million yen Investments and other assets Intangible assets Property, plant and equipment Current assets 【Assets】 Net assets Non-current liabilitie
Slide 20: Three-year performance: Sales business
8. Three-year performance 8.1 Sales business Fiscal Year Ended March 31, 2018 Fiscal Year Ended March 31, 2019 Fiscal Year Ending March 31, 2020 （Unit：million yen） Segment sales Segment profit Segment profit ratio 3,887 3,631 3,764 3,439 3,431 3,136 2,522 2,877 15.1% 11.9% 11.2% 2,409 11.9% 12.0% 9.
Slide 21: Three-year performance: Rental Business
8. Three-year performance 8.2 Rental Business Fiscal Year Ended March 31, 2018 Fiscal Year Ended March 31, 2019 Fiscal Year Ending March 31, 2020 （Unit：million yen） Segment sales Segment profit Segment profit ratio 5,908 6,308 6,023 6,034 5,230 5,228 5,610 5,312 5,279 11.7% 10.6% 12.7% 12.8% 10.7% 7
Slide 22: Three-year performance: Overseas business
8. Three-year performance 8.3 Overseas business Fiscal Year Ended March 31, 2018 Fiscal Year Ended March 31, 2019 Fiscal Year Ending March 31, 2020 （Unit：million yen） Segment sales Segment profit Segment profit ratio 1,913 1,991 2,028 2,071 1,389 1,405 1,443 1,560 1,123 5.6% △0.4% 0.4% 3.7% △1.5% 1.
Slide 23: FY Ending March 31, 2020 forecasts
9. FY Ending March 31, 2020 The 1st quarter made a good start, along with rental business remaining at high level and overseas business maintaining steady growth and succeeding in improving profitability. Meanwhile, there is no change in the full term performance forecasts. FY Ending March 31, 2020
Slide 24: Status of shareholder return
10. Status of shareholder return Dividend return policy: Maintaining stable dividend level, the Company plans to provide commemorative dividend (2 yen) in FY03/2020. FY Ended March 31, FY Ended March 31, FY Ended March 31, FY Ending March 31, 2020 2017 2018 2019 (Forecast) Dividend 10yen 11yen 11yen
Slide 25: Reference materials
Reference materials Grand Front Osaka Tower-B Bldg. 27F, 3-1, Ofuka-cho, Kita-ku, Osaka 530-0011, Japan TEL：+81-6-6375-3900 FAX：+81-6-6375-8825
Slide 26: History
History • 1969 June Founded as Shin Kansai Co., Ltd., currently SRG TAKAMIYA CO., LTD., in Osaka City. • 1998 Apr. Established Techno Kobo Ltd. (currently Cadian Co., Ltd., a consolidated subsidiary) in Osaka City. • 2004 Oct. Established HIRAMATSU Co., Ltd. (currently a consolidated subsidiary) in
Slide 27: Sales business: Product
Sales business Product Joint(clamp) Next generation scaffolding Hanging type scaffolding Safety member 建設関連 建設関連 建設関連 建設関連 General-purpose equipment used in New scaffolding with high safety Walking panel hung with chains, Preceding handrails, any work sites performance, an alternative to the mainly
Slide 28: Sales business: Corresponding construction field
Sales business Corresponding construction field Architecture Bridge Underground work Plant 建築（新築・維持補修） 橋梁（新築・維持補修） トンネル・地下工事 プラント High-rise buildings, high-rise Expressways, railroads, elevated Shield tunneling construction such as Construction and maintenance of condominiums, warehouses, ビル、マンション、学
Slide 29: Sales business: Related business
Sales business Related business distribution industry Construction CAD Drafting National network of construction Drawing and strength calculation of To transport products to our customers services such as scaffolding, and tracing of structure assembling/dismantling scaffolding drawings 全Via our bran
Slide 30: Overseas business: bases and business activities
Overseas business Overseas bases and business activities ホリーコリア株式会社 Hory Korea Co.,Ltd ホリーベトナム有限会社 HORY VIETNAM Co.,Ltd DIMENSION-ALL DIMENSION-ALL INC. INC. ※ フィリピン カランバヤード 建設用仮設機材や太陽光パネル設置架 Carrying out manufacture/sales/rental of 日本国内向けクランプや東南アジア向 Carrying out manufacture of clamps for 建設用型枠・支保工の
Slide 31: Business Diagram
Business Diagram Overseas business temporary equipment manufacturers, trade firms, etc.) housing manufacturers, agricultural corporations, etc.) Sale・Rental・Construction Purchase Hory Korea Co., Ltd HORY VIETNAM Co., Ltd. Suppliers (raw materials manufacturers, Sale Sale・ Rental・Construction Custome
Slide 32: Quarterly Change in Results by Segment
Quarterly Change in Results by Segment （Unit：million yen） FY Ended March 31, 2018 FY Ending March 31, 2019 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Sales business Segment sales 3,887 3,631 2,522 2,409 2,877 3,764 3,439 3,431 (Of which) Inter-segment sales 2,804 2,902 2,531 2,428 2,853 3,702 3,388 3,449 Segment profi
Slide 33: Quarterly Change in Results by Segment
Quarterly Change in Results by Segment （Unit：million yen） FY Ended March 31, 2018 FY Ending March 31, 2019 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Sales business Segment sales 3,887 7,518 10,040 12,449 2,877 6,641 10,081 13,512 (Of which) Inter-segment sales 2,804 5,707 8,239 10,667 2,853 6,555 9,944 13,393 Segment
Slide 34: Change in Financial Results
Change in Financial Results Net sales Operating income 10,312 737 4Q 8,828 9,783 9,190 995 8,783 707 3Q 11,135 667 806 8,764 9,460 9,049 2Q 9,072 861 299 919 1Q 796 11,028 9,010 9,377 9,114 1,121 586 8,436 872 693 831 545 7,925 7,791 8,142 8,761 9,705 434 253 272 259 255 FY Ended FY Ended FY Ended F
Slide 35: Change in Consolidated Financial Results
Change in Consolidated Financial Results FY Ended FY Ended FY Ended FY Ended FY Ended FY Ended FYEnded FY Ended FY Ended FY Ended FY Ended March 31, March 31, March 31, March 31, March 31, March 31, Marh 31, March 31, March 31, March 31, March 31, 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 20
Slide 36: Change in Consolidated Balance Sheet
Change in Consolidated Balance Sheet FY Ended FY Ended FY Ended FY Ended FY Ended FY Ended FY Ended FY Ended FY Ended FY Ended FY Ended March 31, March 31, March 31, March 31, March 31, March 31, March 31, March 31, March 31, March 31, March 31, 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Slide 37: Change in Domestic Construction Investment
Change in Domestic Construction Investment * Source: Research Institute of Construction and Economy, "Quarterly Outlook of Construction and Macro Economy", Jan 2019 2018 Up 1.3％ 2019 Up 2.1％(Forecast) 560,200 567,400 579,100 512,984 535,700 511,410 509,828 432,923 452,914 169,900 176,400 174,700 419
Slide 38: Changes in invested amount for domestic building reform/renewal
Changes in invested amount for domestic building reform/renewal * Source: Ministry of Land, Infrastructure Transport and Tourism, "Estimate of Construction Investment, FY2018", Jun 2018 Up 4.1％ YoY 127,000 131,000 125,800 117,800 110,200 99,300 38,400 39,300 41,500 90,300 40,500 83,500 84,800 77,600
Slide 39: Change in Domestic Construction Investment
Change in Domestic Construction Investment * Source: Ministry of Land, Infrastructure Transport and Tourism, "Estimate of Construction Investment, FY2018", Jun 2018 Government investment Private investment Renovation and renewal investment （Unit：billion yen） 400,000 341,100 329,800 311,900 287,376 2
Slide 40: Utilization rate and net sales of 50 scaffolding leasing companies
Change in utilization rate of construction materials and equipment and in net sales of 50 companies in the scaffolding and construction materials leasing business （ Unit ：%） （Unit：million yen） 70.0 Net sales Framework Scaffolding Falsework Members 25,000 60.0 20,000 50.0 15,000 40.0 30.0 10,000 20.0
Slide 41: Change in Overseas Market
Change in Overseas Market (Billion dollars) Country (Million people) 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Nominal GDP 6,203 5,155 4,850 4,394 4,949 4,872 5,167 5,362 5,498 5,641 5,796 5,962 Japan Population 127 127 127 126 126 126 126 126 125 125 124 124 Nominal GDP 1,222 1,30
Slide 42: Stock Price of TAKAMIYA (2445:Tokyo)
100,000 200,000 300,000 400,000 500,000 600,000 0 Jan-09 Apr-09 Jul-09 Oct-09 Jan-10 Average daily trading volume Apr-10 Jul-10 Oct-10 Jan-11 Apr-11 Jul-11 Oct-11 Jan-12 Apr-12 Jul-12 Oct-12 Jan-13 Apr-13 Jul-13 Stock Price of TAKAMIYA (2445:Tokyo) Oct-13 Jan-14 Apr-14 Jul-14 Oct-14 Jan-15 Apr-15 Ju
Slide 43: IR contact
IR contact HP For Investor Company ： Takamiya Co., Ltd. name Grand Front Osaka, Tower B, 27F, Address ： 3-1 Oofuka-cho, Kita-ku, Osaka, 530-0011, Japan HP ： https://www.takamiya.co/ For Investor ： https://www.takamiya.co/ir/ Japan ： +81-(0)6-6375-3918 Phone FAX ： +81-(0)6-6375-8827 CONTACT ： Takashi